5 questions to ask when comparing prepaid debit cards

By UK CreditCards.com

There are lots of prepaid debit cards on the
market. To help you find the right card, here are five questions you should ask when comparing prepaid cards.

1. What are the fees
and charges?
Prepaid debit cards can be a convenient tool
for managing your money. However, some cards do have charges for operating the
account. Charges vary according to
provider, but you should generally look out for ATM withdrawal charges, fees
for topping up your card, monthly fees and charges for replacing your card if
it is lost or stolen.

Always make sure that you check what fees,
if any, are applicable to the prepaid cards you are
considering.

2. How easy is it to
top up the card?
You may be topping up your card regularly,
and so make sure that there are plenty of options for loading cash onto your
card. Many companies allow you to
transfer funds online, whilst others let you top up your card at a bank, Pay
Point or by telephone.

3. Can you use the
card abroad?
Many people are using prepaid debit cards as
alternatives to traveller's cheques or foreign currency when they travel
overseas. You can load your prepaid
card with foreign currency before you depart and then use the card to withdraw
francs, euros or dollars at a local ATM.

If you're planning to use your card abroad,
you may want to consider a prepaid debit card that offers travel benefits.

4. Should I pick Visa
or MasterCard prepaid cards?
The vast majority of prepaid debit cards
carry either the Visa or MasterCard logo. Whilst both Visa prepaid cards and
MasterCards are accepted at millions of locations across the world, you may
have a particular preference for the type of card you choose. The fees may also
be slightly different between Visa and MasterCard prepaid cards. When shopping
around for the best card, you will need to make a decision about what type of
prepaid card will suit you best.

5. Is the card easy to
manage?
Many people lead busy lives these days. If
you are short on time, then you will want a card that is convenient to your
lifestyle. When comparing cards, always
check what online, telephone and other services are available and pick a card
that suits your needs.

For example, lots of prepaid card providers
now allow you to manage your account online. You can log onto a secure website 24 hours a day to make transactions,
check your balance and top up your card.

Other prepaid cards come with telephone or
branch-based services, which may be less convenient for you if you work long
hours or can't get to your local branch during opening hours.

Before signing up for a new card, check that
it offers a wide range of account management options that fit your busy lifestyle.